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lindy field
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DL & CO Post 4th Quarter And Full Year Losses

Thu Jan 16, 2003 11:22 pm

PRNewswire has posted stories on Delta's and Continental's financial performance for the 4th quarter and full 2002 year in the last two days. Fragments of the articles follow, but to highlight:

Delta: - 363million USD loss for the quarter/ - 1.3billion USD loss for the year
Continental - 109million USD loss for the quarter/ - 451 million USD loss for the year.

Analysts expect that 2003 won't be much better for US airlines. What steps will be taken next to stop the bleeding? What do the very real possibilities of a war in Iraq and United's Chapter 7 mean for these airlines?

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Continental:

HOUSTON, Jan. 15 /PRNewswire-FirstCall/ -- Continental Airlines
(NYSE: CAL) today reported a fourth quarter net loss of $109 million
($1.67 diluted loss per share), which compares favorably to the First Call
estimate of $1.97 loss per share. The results are a 27 percent improvement
over the fourth quarter 2001 loss of $149 million.
Continental's net loss for the full year was $451 million ($7.02 diluted
loss per share), which includes a charge for fleet disposition/impairment and
other special items totaling $161 million ($254 million before taxes).
Excluding the special items, the net loss would have been $290 million
($4.52 diluted loss per share).
"In spite of these extraordinarily difficult times, we again demonstrate
that not all airlines are alike," said Gordon Bethune, chairman and chief
executive officer of Continental Airlines. "Thanks to a dedicated and focused
team of professional employees, we continue to outperform our competitors in
almost every measure."

Delta:

Delta Air Lines reported a net loss of $363 million and a loss per share
of $2.98 for the December 2002 quarter. This is compared to a net loss of
$734 million and loss per share of $5.98 for the December 2001 quarter.
Excluding unusual items, the December 2002 quarter net loss and loss per share were $230 million and $1.90, respectively, compared to a net loss of $486 million and loss per share of $3.97 in the December 2001 quarter. For the
full year 2002, Delta reported a net loss of $1.3 billion and loss per share
of $10.44. Excluding unusual items, Delta reported a net loss of $958 million
and loss per share of $7.89 for calendar year 2002. Note 2 to the attached
consolidated statements of operations shows a reconciliation of the net loss
excluding unusual items to the reported net loss.